The Impact Of Leadership Style On Employees Performance (A Case Study Of Selected Oil Companies In PH)

Project and Seminar Material for Business Administration and Management (BAM)

The Impact Of Leadership Style On Employees Performance (A Case Study Of Selected Oil Companies In PH)


This work has a great impact to the aspect of managerial tasks, it was if essence as the ability to persuade others to comply voluntarily one’s wishes. It is a phenomenon that cover the behaviour pattern of the leaders, both in natural and laboratory settings, social, scientist, has gradually come to perceive certain pattern of behaviour in work place, and what motivates workers in terms of setting organizational or institutional goals and objective in a particular environment.

This research work go further to study the impact of leadership style on survival of small scale business which helps the managers to understand the leadership style to be adopted in the work place whether it will be productive or not. And the extent to which the employees contributes in the realization of these lofty goals or objectives depends on leadership style.

Table Of Contents

Preliminary Page(s)

  • Title Page
  • Approval Page
  • Dedication
  • Acknowledgement
  • Abstract
  • Table Of Content

Chapter One

1.0 Introduction

  • 1.1 Background Of Study
  • 1.2 Statement Of Problem
  • 1.3 Objective Of The Study
  • 1.4 Research Question
  • 1.5 Significance Of The Study
  • 1.6 Scope Of The Study
  • 1.7 Limitation Of The Study
  • 1.8 Definition Of Terms

Chapter Two

2.0 Literature Review

  • 2.1 Function Of Leadership
  • 2.2 Nature Of Leadership
  • 2.3 Leadership And Management
  • 2.4 Sources Leader Influence
  • 2.5 Theories Of Leadership Style
  • 2.6 Leadership Style
  • References

Chapter Three

3.0 Research Design And Methodology

  • 3.1 Introduction
  • 3.2 Research Design/ Method
  • 3.3 Sources Of Data
  • 3.4 Population Of The Study And Sample
  • 3.5 Sample Techniques/ Procedure
  • 3.6 Validity And Reliability Of The Measurement
  • 3.7 Method Of Data Analysis

Chapter Four

4.0 Data Presentation, Analysis And Interpretation

  • 4.1 Introduction
  • 4.2 Return Of Questionnaire
  • 4.3 Presentation, Analysis Of Data Based In Research Question

Chapter Five

5.0 Summary Of The Findings, Conclusion And Recommendation

  • 5.1 Summary Of Findings
  • 5.2 5.2 Summary
  • 5.3 Conclusion
  • 5.4 Recommendation
  • Bibliography
  • Appendix
  • Questionnaire

Chapter One

1.0 Introduction

1.1 Background Of The Study

Leadership is the psychological process of providing guidance for followings; it is the act of influencing people to striving willing for naturally competitable objectives. Leadership is generally regarded as the most important modifiers of organizational behavior; organizational success can be attribute to effective leadership style.

Conversely, the blame for all failures may be put at the doorstep of management and lack of effective leadership style. A random chief executive would paraphrase it to say “ get the right person and put him in the right job. All of your problems will be solved.

Although, some people treat the terms managers hip and leadership as synonyms, this work believed they should be distinguished. As a matter of fact there can be leaders of completely unorganized group, but there can be managers as conceived hence only where organized structured create roles. There are important analytical advantages in separating leadership, it permits leadership to be singled out for study without the encumbrance of qualification relating to the more general issues of managership.

The emphasis of leadership is an inter personal behaviour in a broader context. It is often associated with the willing and Buthsiastic behaviour of followers. Many people operate as leaders without their role being clearly established or defined. A leader often have sufficient influence to bring about long term change in people’s attitudes and to make changes more acceptable. The different between leadership and management can be viewed from the basis of difference in attitudes and relations with others.

The ability to lead effectively is one of the keys to being effective managers. Also it should become clear that understanding the other essentials of managing doing the entire managerial job has an important bearing on assuring that manager will be effective leader.

Manager must exercise all the elements or their role in order to combine, human and materials resource to achieve desire group objectives. The key to do this achieve desire group objectives. The key to do this is the acquisition of the characteristics of indigenous leaders. The existence of clear role a degree of discretion of authority to support managers of the leadership is followers towards productivity in other person words, it is the willingness of people to follow that makes a leader and to achieve organizational goal effectively that make him or her on effective leaders.

Moreover, people tend to follow those when they perceive providing a means of achieving their own desire wants and need. As consequence, we can see that leadership and motivation are closely interconnected. By understanding motivation, we can appreciate better what people want and why they act as they do also, leader may not only respond to those motivation but also arouse of damped them by means of the organizational climate they develop.

The major purpose of the study is to find out the the impact of leadership style on employees performance, a few years before Nigeria got her independence from Britain in 1960, small scale business were mainly carried on by different household engage in various types of production in the most traditional manner. Those activities comprised various types of manufacturing processing and services. These include weaving, shoe making., restaurant and transportation.

As time went on, small scale enterprises expanded to activities like furniture making, painting, block industry and others.

The federal government established the industrial development centre (IDC) at Owerri and Zaria before the civil war and after the Civil war at Uyo and Osegbo to handle the major problems of small scale enterprises. The major marketing deficiencies.

1.2 Statement Of Problem

High productivity on the part of the worker could be sound to be directly proportional to the effectiveness of the leadership style.

This study is concerned with an appraisal of the leadership styles adopted by the leaders to boost the moral of the workers for greater performance.

The statement of problem include:

  1. There is lack of attention to ideal leadership style that will improve workers productivity
  2. There is lack of motivated workers.
  3. Does good leadership style enhance the moral of workers towards high productivity.
  4. How does good leadership style lead to success effective leadership style boost moral of workers and increase productivity.

1.3 Objectives Of The Study

Failure to achieve organizational goals and objectives have been identified with leadership styles that are not effective.
The dimension that this research will cover will be based on the following question, which will help in creating and insight into the problem understanding.

  1. To know what type of leadership style appropriate with the small scale business.
  2. To find out the idea leadership style that will increase the output of worker productivity in small scale business.
  3. If leadership style has any thing to with the efficient running of the small scale business .
  4. To know, if effective leadership style really motivate workers towards high productivity, and achieving objectives of small scale business.

1.4 Research Question

The researchers have undertaken this research topic in their to find answers to the following question:

  1. Does survival of small scale business largely depends on the effective leadership style ?
  2. What type of leadership is suitable for small scale business?
  3. Would the leaders be the causes of failure on the small scale business enterprises?
  4. Does effective leadership style increases workers moral towards high productivity.

1.5 & 1.6 Scope/ Delimitation Of The Study

This research work is an indebt study of the impact of leadership style on the survival of small scale business with a cause study of some selected small scale business in Owerri.

Also, it study had the leadership style, influences workers performance towards the survival of the small scale business and what it tales or seen as alternative towards the success of the enterprises.

This study will cover the entire selected small scale business in Owerri and as such the results obtained can be used as such generalization about what is obtainable in the other areas.

1.7 Limitation Of Study

The following limitations are inherent in the study:

  1. The limitation inherent in the use of questionnaire in terms of objectivity, truthfulness, and sincerity from subjects are acknowledged, therefore, there is tendency for a degree of to occur in the evaluation of data
  2. The inability of the research to include all the workers in the organizations, due to lack of fund and time at researcher disposal. There, the interviews and questionnaires are distributed to the senior and junior workers both male and female.

1.8 Definition Of Terms

For the understanding of the content of study, the following important terms have been defined.


Is on who influences the behaviour of other people towards the achievement of set objectives.


This is the largest which has been set by organization in the course of operation to be achieved.


This is approach adopted by leaders in dealing with their subordinate for accomplishing a set objective of the organization.


It is that behaviour of a manager or leader towards directing orders.


The result out come at an organization effort.


It refers to the ability of an individual or group to get some individual or group to change behaviour in some manner.


Referred to as a manner of behaviour a way to feeling and thinking.

Chapter Five

5.0 Summary Of Findings, Conclusion And Recommendations

5.1 Introduction

This chapter is concerned with the discussion of analysis carried out in the previous chapter conclusion are to be made as regards to the analysis made.

Recommendation will be made to leader on how best to motivate workers to minimize, productivity and how best to choose option of leadership style to enhance the survival of small scale business

The purpose of this study is for survival of small scale business. In view of financial constraints factor and other problems associated with research work.

This study was limited to sixty workers of the case study.

Specifically, study was designed to answer the following research questions.

  1. What type of leadership style are available and which is most adopted by small scale business.
  2. Does leadership have anything to do with the efficient style?
  3. What factor that effect manager in adopting leadership styles?
  4. Does a good mix of leadership style motivate workers towards increases in productivity

5.2 Summary Of Finding

From the analysis in the chapter four, it was revealed that leadership style in force at any point in time affects the output of the workers.

From the questionnaires 52.5% of the respondents agreed that the democratic leadership style is the prevalent leadership in small scale business. This question shown that decision are taken by management team which would be suitable for small scale business operation from the questionnaires 78.5% of the number pointed t the fact that what makes them happy is job satisfactory.

Through the questionnaire, it was revealed that management of the small scale business do not take interest in the welfare of their workers while 62% of the respondents mention this claim. The analysis observed that outstanding performance is not adequately rewarded in the small scale business should work on those areas so as to create an environment that will promote competition and stimulates the zeal in their workers. The management should provide adequate incentive to the work force while 21.5% mention them.

From the questionnaire 52.3% agree at 100% that leadership is suitable for management of small scale business is democratic style while 35 agreed on laissez faire leadership and remaining 12.5 agreed autocratic leadership.
The main focus of this study has been on impact of leadership style on survival of small scale business.

Efforts were also made to examine the activities of leaders of small scale business in their leaders of small scale business in their leadership exhibition towards survival of small scale industry.

5.3 Conclusion

Based on the findings of the study, the following conclusion are drawn:

  1. It was discovered that democratic leadership style should be the best to adopt in small scale business operations.
  2. Workers should be allowed t take part in decision making and management should take care of the welfare of the workers.
  3. That management leaders should take to exhibit the leadership style that is suitable at any point in time.
  4. Leader should use their influence to motivate workers not to intimate them towards achieving organizational goals.
  5. Leaders should recognized needs for incentive and reward of outstanding performances.

Since leadership is ability to influence others to get things done, leaders should also known the best leadership style suitable for small scale business operation for growth and increase productivity.

5.4 Recommendation

Generally, small scale business operations are facing a ot of great challenges of how to rise workers productivity.

Above the prevailing standard and at the same time render satisfactory service to their customers. The recommendation made here will focus on the observed weakness in leadership of the small scale business management and their subsequent facts on the employee’s performance in the organization.

  1. The leadership style exhibition being practice in the organization should be contingent to the nature and environment of the organization.
  2. Training should be highly encouraged by improving workers ability to perform the task required of him.
  3. Use of expertise and manpower technique know how will be highly encouraged if necessary.
  4. The leadership influence must be task to motivating workers not just the sake of doing it, but to stimulate them for higher performance and they are bound to put in their best.

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Frequently Asked Questions

Which leadership style has the greatest impact on performance?

Regression analysis was conducted to analyses the data using SPSS 21. The result shows that autocratic and democratic leadership style has positive and significant impact on employee performance. However we found that laissez-fair leadership style have no significant influence on employee performance.

How does leadership influence employee performance?

Peter Drucker, a well known leadership guru defines leadership as “doing the right things A particular approach of leadership style undertaken by any manager in an organization, would also influence the organization in a particular way, either positively (high employee’s performance) or negatively (low performance).

Does leadership style affect employees’ job satisfaction?

In particular Leaders within an organization can adopt appropriate leadership style to affect employees’ job satisfaction. This will be measure using percentages with the help of Likert differentiated scale type.

How do transformational and transactional leadership styles affect employee performance?

Therefore, work motivation positively and significantly may mediate the relationship between transformational leadership styles on employee performance. On other hand, basically transactional leaders emphasize that a leader needs to determine what needs to be done by subordinates to achieve organizational goals.

How does the style of leadership affect the organizational performance?

The style of leadership a manager adopted has a direct effect on the organizational performance of the employee. The study among others things discovered is that participatory of leadership and delegation of duties enhances the employee performance and attainment of corporate goals and objectives.

How does lead leadership affect employee performance?

Leadership directly affects employee performance, with regards to their contributions to the organization. There are elements of group performance that cannot be taught as hard skills, they are rather encouraged through the relationships between the employees and their leaders.

How does leadership impact employee engagement?

All of which pertain to the impact leadership has on managers’ ability to engage employees. Here we argue that leaders have a direct impact on employee engagement as well. Judging from the data, trust in leadership is a significant challenge. And the level of trust in an organization sets the tone for the corporate culture.

How do employees feel about their leaders?

Only 22% of employees strongly agree that their leaders have a clear direction for their organization About 15% of employees strongly agree that leadership makes them feel enthusiastic about the future 13% of employees strongly agree the leadership of their organization communicates effectively with the rest of the organization.

How does leadership style affect organizational performance?

There is a considerable impact of the leadership styles on organizational performance. The leadership style influences the culture of the organization which, in turn, influences the organizational performance. Klienet al (2013) proved this fact by using four factor theory of leadership along with

What is a leadership style?

Defined by leadership studies scholars Bruce Avolio and Bernard Bass, this leadership style involves improving the morale and job performance of team members by connecting with their sense of identity and the collective identity of the organization.

What is the most successful trait-driven leadership style?

By far the most successful trait-driven leadership style is charismatic. Charismatic leaders have a vision, as well as a personality that motivates followers to execute that vision. As a result, this leadership type has traditionally been one of the most valued.

What are the 5 leadership styles?

I will focus on 5 common styles that I’ve encountered in my career: democratic, autocratic, transformational, transactional and laissez-faire leadership . The democratic style seeks collaboration and consensus.

What is the role of leadership in job satisfaction?

According some studies, leadership plays a vital role in job satisfaction as transactional leadership style effects job satisfaction the most. A transactional leadership style not only give rewards and benefits to the employees, but also can reduce the work pressure and increases the morale ethical behavior.

Does leadership style and organizational politics affect employee job satisfaction?

Effective leaders who possess good leadership styles have the ability to moderate or minimize the organizational politics perceptions hence increasing job satisfaction. Therefore leadership style and organizational politics both are important factors that may affect employees satisfaction regarding their job.

What is the least effective leadership style/approach on job satisfaction?

The least effective leadership style/ approach on job satisfaction is leadership behaviors. Th e behaviors of leaders affect employees ’ behaviors (Bass, 1990) and job satisfaction. However, faction. A further finding concerning leadership style/approaches is that charismatic leadership styles have no effect on job satisfaction.

Do the behaviors of leaders affect employees’ behavior and job satisfaction?

The behaviors of leaders affect employees ’ behaviors (Bass, 1990) and job satisfaction. However, faction. A further finding concerning leadership style/approaches is that charismatic leadership styles have no effect on job satisfaction. Abd-El-Salam, E. M., Shawky, A. Y., El-Nahas, T., & Nawar, Y. S. (2013).

What are the results of transactional and transformational leadership?

The results of both transactional and transformational leadership directly affect employee Breevaart et al., 2014). organizational performance, culture, finance and behavior. Although each theory is different and increased job satisfaction.

What is the relationship between leadership style and performance?

There is a significant relationship between managers’ leadership style (transformational, transactional, and laissez-faire) and employees’ willingness to exert extra effort. Previous studies reveal that leadership style affects employee׳s performance in many ways.

Does transformational leadership style increase or decrease performance?

Since transformational leadership seeks to enhance vision and awareness, and both styles can be effective at increasing performance depending on the situation. For example, if consequences such as a reduction in bonuses. However, if the leader exhibits transformational

What is the difference between transactional and motivational leadership?

(Kuhnert & Lewis, 1987; Breevaart et al., 2014). Burns (1978) stated that great leaders could transform employees by tapping into their needs to increase motivation. In contrast, transactional leadership focuses on a framework of appealing to the interests of employees.

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